Merv’s Daily Uranium Index
Note that the volume is an average volume of round lot sales for the 50 component stocks. For total volume, multiply by 5000.
We had a downer yesterday and a lesser upper today. Looking at the candlestick action, today’s action looks very much like a bottoming out and the start of a bounce or rally (but not yet a bull move). There is just too much damage done to the Index with its move into new bear lows that would take some reasonable upside action to get back in a bullish mood.
The Merv’s Daily Uranium Index closed higher by 2.22 points or 1.36%. There were 31 winners today, 14 losers and 5 stocks still totally confused. Cameco lost 0.7%, Denison gained 4.7%, Extract gained 11.1%, Paladin lost 3.6% and Uranium One gained 7.6%. The best winner of the day were two stocks, CanAlaska and Powertech each with a gain of 11.76%. The loser of the day was Xemplar Energy with a loss of 7.1%. Market Vectors Uranium + Nuclear Energy ETF gained 0.9% while Global X Uranium ETF gained 2.5%.
The chart tells us the whole story at this point. Everything is still negative but we are seeing sign of a possible turn. When you have a down day followed by a day where the action was all within the previous day’s action (daily high and low) this suggests a possible halt to the down move with hopes for a bounce or rally ahead. That’s about the best I can come up with for today. So, ratings are all BEARISH with the short term the most likely to show some signs of strengthening. The most likely action for tomorrow is some upside but not necessarily a violent up move.